Industry News

The CLP Government has outlined a number of environmental measures that will protect our pristine environment, streamline decision making and allow economic development in the Territory.

Minister for Lands, Planning and Environment and Water Resources Joshua Burgoyne said that we have world class environmental protections, and these measures will provide a strong foundation for economic growth and certainty for business investment.

“We are providing certainty to the environment and users of water through the declaration of water allocation plans in the Mataranka and Western Davenport regions.

“Both of these plans have been developed using the best available science and a comprehensive understanding of the water resource.”

The Mataranka Water Allocation Plan 2024-2034 is the first water allocation plan for the area, which covers over 9,000km² and comprises three water management zones: North Mataranka, South Mataranka and Larrimah.

“The aquifer holds an estimated 32 million megalitres (ML) of water, with the estimated sustainable yield (ESY) for this allocation plan set at a maximum of 62,474 ML per year," said Mr Burgoyne.

“Together, the ESY and the management rules preserve more than 90% of the dry season flows to the river.

“The plan protects the environmental value of the Roper River and iconic springs, providing water security to communities, and supporting economic development, including in the Larrimah agricultural precinct."

Similarly, the Western Davenport Water Allocation Plan maintains the vast majority of water in the aquifer, with the ESY using only 0.6% of the groundwater storage throughout the 10-year life of the plan, or 0.06% per year.

“This means that 99.4% of the groundwater remains in the ground over the 10-year life of the plan,” said Mr Burgoyne.

Decisions to eliminate duplication to build a more efficient approvals system were also outlined as part of the environmental measures.

Acting on advice from the NT Environment Protection Authority (NT EPA) Chair, Dr Paul Vogel, the requirement to refer all Environment Management Plans for petroleum activities to the NT EPA has been removed.

“This does not remove the NT EPA’s ability to call in any project application for formal assessment, nor does it remove my right to request the NT EPA’s advice for specific proposals,” Mr Burgoyne said.

Chair of the NT EPA, Dr Paul Vogel, said that he is confident the environmental regulator and regulatory framework for onshore petroleum in the NT is sufficiently robust to ensure the sustainable development of that industry.  

Mr Burgoyne stated that the Government has also removed duplication in gas emissions policies in the NT.

“The Territory established the large emitters and gas emissions policies when there were no other policies to regulate greenhouse gas emissions.

“The Federal Government then introduced a nationally consistent approach to reducing emissions, so now we have tidied up and strengthened our processes.

“These matters are regulated through the Environment Protection Act and the Petroleum Environment Regulations.”

The Australian Government’s Safeguard Mechanism ensures a nationally consistent approach on how this important issue is regulated nationwide.

Source: NT Government Newsroom

Media release issued by:

Joshua Burgoyne

Minister for Water Resources

Minister for Lands, Planning and Environment

APA Group (ASX:APA) today announces the execution of a Development Agreement, long-term Gas Transportation Agreement (GTA) and Connection Agreement with Tamboran Resources Corporation (ASX: TBN, NYSE: TBN) and Daly Waters Energy, LP for the Sturt Plateau Pipeline (SPP) connection in the Northern Territory.

Under the agreements, APA will build, own and operate the SPP to connect the Tamboran Resources’ operated Shenandoah South Pilot Project to the Amadeus Gas Pipeline (AGP) in the Northern Territory.

The pipeline will be approximately 37 kilometres in length, with construction targeted for completion in early 2026. APA’s total construction costs for the project are currently estimated to be around $66.5 million.

The development is subject to certain milestones being met, including obtaining third-party approvals such as a pipeline licence. Revenue will start being earned under the GTA upon first receipt of gas from the Shenandoah South Pilot Project for transportation to the AGP, which is expected to be operational in H1 2026. The GTA will continue until at least 2041.

The SPP is the first of a number of pipeline projects that APA is assessing to transport gas out of the Beetaloo Basin, provided ongoing exploration activities by upstream proponents achieve commercial success. APA’s investment in the SPP does not commit APA to develop further Beetaloo Basin pipelines. The SPP will be funded from APA’s existing balance sheet.

CEO and Managing Director, Adam Watson, said the project highlights both ongoing growth opportunities across APA’s gas transmission network and its critical role supporting energy security and transition.

“The development of the Beetaloo Basin is in the national interest. We know there are significant risks of domestic gas shortfalls in the years ahead and that new sources of supply will be required from 2028 to meet supply gaps.(1)

“Approximately 88 per cent of electricity generated in the Northern Territory comes from gas fired power generation (2) and around 60 per cent of the Northern Territory’s gas supply from 2026 is forecast to come from Tamboran’s first pilot gas development. So, this new infrastructure is critical to ensuring gas from the Beetaloo will be available to power the Northern Territory as existing gas supply sources deplete.

“The measures developed through the Pepper Report will ensure Beetaloo gas can be delivered safely, responsibly and sustainably with strong environmental safeguards. APA will continue to work closely with landholders, First Nations stakeholders, communities, councils and governments as we work through the environmental approvals process.”

(1) Australian Energy Market Operator (AEMO) 2024 Gas Statement of Opportunities
(2) Australian Government, Future Gas Strategy, May 2024, p8

To view the ASX announcement, click here

Source: APA Group

Highlights

• Tamboran Resources Corporation and Daly Waters Energy, LP (DWE) have entered into binding agreements with APA Group (ASX: APA) whereby APA will build, own and operate the 12-inch diameter Sturt Plateau Pipeline (SPP) for the proposed Shenandoah South (SS) Pilot Project.

• The 23-mile (37 kilometre) SPP will connect the proposed Sturt Plateau Compression Facility (SPCF) to the existing APA-owned Amadeus Gas Pipeline (AGP), the delivery point for gas volumes under the Gas Sales Agreement (GSA) with the Northern Territory Government.

• Tamboran and DWE have contracted all foundation capacity on the SPP from the commencement of operations until at least 2041, which reflects the term of the GSA and have competitive access and pricing rights to contract capacity following completion of the initial term.

• APA has materially progressed the SPP project, with detailed design and approval applications well progressed. APA expects to place orders for the long-lead packages before the end of 2024.

• Construction of the pipeline is expected to occur in 2H 2025, with the SPP available to accept gas from the SS Pilot Project in 1H 2026.

Tamboran Resources Corporation Managing Director and CEO, Joel Riddle, said:

“We continue to secure key agreements necessary to commence gas production from our proposed Shenandoah South Pilot Project in the first half of 2026. Gas volumes from the Pilot Project will be supplied to the Northern Territory Government through a binding GSA for up to 15.5 years, facilitated by the APA operated SPP.

“With natural gas serving as the largest source of electricity generation in the Northern Territory, Tamboran is proud to play a critical leading role in ensuring a reliable energy supply for Territorians – keeping the lights on and air conditioners running. In delivering this, we are committed to following the highest environmental standards and with the support of Native Title Holders.

“We are excited to continue our partnership with APA Group, Australia’s largest gas pipeline operator, to deliver this project. APA’s experience in the Northern Territory, including ownership of the AGP, which links Alice Springs to Darwin via the Beetaloo Basin, underscores their role in supporting the region's energy infrastructure.” 

To view the full ASX announcement, click here.

Source: Tamboran Resources

The Operator of the Mereenie Joint Venture, Central Petroleum Ltd (ASX:CTP) (“Central”) has advised that mobilisation of the Ventia 101 Rig to the Mereenie Field in Permit OL4/OL5, within the Amadeus Basin, has been completed and the West Mereenie -29 development well spudded on 5 December 2024.

West Mereenie-29 (WM-29) is the first of two wells being drilled in the current campaign at Mereenie. The well is scheduled to take circa 30 days to drill to a primary target depth of 1,450mMD in the Pacoota-3 sandstone.

Following WM-29, the Ventia Rig will move to the West Mereenie -30 (WM-30) location and drill the second of the two wells. WM-30 is similarly scheduled for circa 30 days to drill to the primary target Pacoota-3 sandstone at an estimated depth of approximately 1,681mMD.

These wells are part of the Joint Venture’s ongoing appraisal/development of the Mereenie field and are intended to increase gas production to meet Northern Territory market demand. These wells target a material portion of our 7PJ Mereenie 2P Undeveloped gas Reserves (net to ECH as per our 2024 Annual Report*), and we are expected to start bringing the wells online in Q1 2025.

Please see attached Central Petroleum (Operator of the Mereenie Field) media release for further details.

Echelon CEO, Andrew Jefferies, commented that “The Joint Venture has worked together to optimise the drilling technique for these wells over the last couple of years. It is exciting to see the rig hove to and get drilling. We hope to have the gas from these wells hooked up and cooking up your Quandong Chutney. Gas it’s the fuel for tomorrow, today.”

Participants in Permit OL4/OL5 are Central Petroleum Mereenie Pty Ltd as trustee of the Central Petroleum Mereenie Unit Trust (25%), Echelon Mereenie Pty Ltd (42.5%), Cue Mereenie Pty Ltd (7.5%) and Horizon Australia Energy Pty Ltd (25%).

To view the full news release, click here.

Source: Echelon Resources

Horizon Oil Limited (Horizon) is pleased to advise the commencement of infill drilling operations in the Mereenie Field, Permit OL4/OL5, Northern Territory, Australia. The Ventia 101 rig has been mobilised to the Mereenie Field for a two well campaign, and the West Mereenie-29 well was spudded this morning, 5 December 2024. The drilling program is expected to run for approximately two to three months.

The drilling program comprises two crestal gas production wells, West Mereenie -29 and -30 (WM-29 & WM-30). The wells are expected to increase near term gas production rates from the existing fields, with up to an additional 6TJ/d (gross) of incremental production able to be sold on a firm basis into the recently executed NT Government Gas Sales Agreement (NT GSA). The wells are targeted as nearby offsets from existing Pacoota 3 Reservoir producers.

Central Petroleum is operating the infill drilling program, and Horizon’s share of the forecast drilling costs will be funded from existing cash reserves.

Horizon CEO, Richard Beament added:

“It is pleasing to be targeting increased gas production rates from Mereenie in support of the domestic market. The drilling of a two well infill drilling campaign so soon after completing the Mereenie acquisition, along with the signing of a long-term strategic gas supply agreement with the NT government are tremendous outcomes and assist in further unlocking the value potential we see in Mereenie. This drilling program demonstrates the continuation of our strategy of investing in production growth.”

Source: Horizon Oil Limited Website

More than $170 million in private investment is flowing into onshore gas exploration and production in the Beetaloo Sub-basin and Amadeus Basin, reinforcing the Territory’s role as a leader in energy development.

Minister for Mining and Energy Gerard Maley said this significant investment was a key step in advancing gas production, with first gas from the Beetaloo Sub-basin anticipated in the second half of 2025, subject to regulatory approvals and successful appraisal outcomes.

“The Beetaloo Sub-basin’s development is a top priority for the CLP Government, as it delivers energy security, drives private investment, creates jobs, and strengthens the Territory’s competitive advantage,” said Mr Maley.

“Developing these resources is pivotal, not only to rebuilding the Territory’s economy but also safeguarding our regional and national energy security.

“Investment like this is crucial to the development of the onshore gas industry in the Beetaloo Sub-basin, as well as to the expansion of existing production activities in the Amadeus Basin.”

Mr Maley last month visited the Beetaloo Sub-basin to inspect current operations by Tamboran Resources at its Shenandoah South site.

“Both Tamboran and Empire Energy are leading the way in activity and investment in the Beetaloo, with both companies preparing to deliver gas to the Territory market,” he said.

“The CLP Government is rebuilding the Territory’s economy and backing private investment, with significant planning already underway for critical infrastructure and services to support industry’s huge investment in the highly prospective Beetaloo."

Empire Energy last week announced it had secured a $65 million Beetaloo Financing Package which would see an expansion of exploration, appraisal and development activities for its Pilot project. The company last month commenced drilling its Carpentaria 5H well.

Significant exploration programs are underway in the Beetaloo, with Santos nearing completion of its 255km seismic survey.

This is a low impact survey to gain a better understanding of the geology of the area to inform planning for drilling and flow testing of two new wells.

In the Amadeus Basin, west of Alice Springs, Central Petroleum and its joint venture partners continue to invest in gas production and increasing its supply to the Territory, with the drilling of two new wells this month.

Central Petroleum has been producing gas since the early 1980s, and along with its joint venture partners will continue to plan for additional production wells in 2025.

“This $170 million private investment is key to driving economic growth, supporting critical industries, and cementing the Territory as the preferred place to invest and do business in resource exploration, mining and gas production,” said Mr Maley.

The investment from Empire, Tamboran, Central Petroleum and Santos is on exploration and appraisal activities.

“The CLP Government recognises the importance of supporting private investment to rebuild the NT economy. We are committed to ensuring the resources sector thrives, creating thousands of jobs and generating substantial revenue to fuel the Territory’s prosperity,” he said.

Source: Northern Territory Government Newsroom

Environmental regulators are in the field ensuring that the onshore gas industry is ready for the upcoming Wet Season.

We know from the Bureau of Meteorology that the wet season in the Top End could be “more severe” this year so it’s important the onshore gas industry is prepared.

When it comes to wet season preparedness the Environmental Regulator closely monitors how wastewater is managed onsite.

We ensure appropriate freeboard levels are maintained throughout the wet season. This reduces the risk of overtopping of wastewater tanks. We also require wastewater to be contained in enclosed tanks prior to any significant rainfall event.

In addition to getting regular reports from industry during the wet season about their freeboard, we also conduct onsite inspections. Inspections are crucial in confirming compliance firsthand.

Last month we undertook inspections in the Beetaloo sub-basin to ensure wet season preparedness. We were joined by our co-regulators in the Water Resources Division. In addition to wastewater management, we also inspected tanks to ensure no leaks and checked that erosion and sediment control measures were in place prior to the upcoming wet season. We observed good compliance.

Last year we undertook 27 inspections prior to and during the 2023-34 wet season and we will be going out again this wet season.

Inspections are challenging for regulators during the wet season because access to site is sometimes cut off by flooding. In the past we have done flyovers in helicopters to ensure we’re monitoring compliance when the risks of wastewater tanks overtopping are highest.

We are committed to being a risk-based and targeted regulator and focussing on activities that have the highest risks. You can read more about our approach to regulation on the NTEPA website.

We have also published a regulatory statement to clearly communicate how we regulate wastewater during the wet season.

Source: Department of Lands, Planning and Environment

The Environment Centre NT (ECNT) has failed in its latest bid to stop the Northern Territory developing an onshore gas industry.

The NT Civil and Administrative Tribunal this week rejected a stay application lodged by the ECNT to overturn the Territory Environment Minister’s decision to approve Tamboran’s Environmental Management Plan around its Shenandoah South gas prospect.

ECNT sought an order for then Environment Minister Kate Worden’s original decision be set aside because it was not satisfied the information provided in the EMP complied with existing regulations around risks of wastewater spills and underground aquifers.

ECNT also wanted the environmental management plan referred to the NT EPA for independent assessment.

NTCAT president Mark O’Reilly rejected the ECNT’s bid for a stay in the EMP process, saying he was satisfied it would result in prejudice to Tamboran.

He said he was not satisfied the ECNT had established the balance of convenience lies in favor of granting a stay.

“In circumstances where the legislative and regulatory scheme has been informed by and amended following the (Pepper inquiry); where the Minister has ostensibly adhered to that regulatory scheme; where minimum standards and conditions apply; and where there is an obligation to remedy any environmental damage, it is not clear to me the level of risk described by the applicant is beyond what is contemplated as being acceptable under the scheme,” NTCAT found.

“I am not persuaded that it is obvious that the applicant’s case has good prospects of success or even substantial success”.

President O’Reilly identified a delay in the commencement of Tamboran’s operations would impact the company negatively in a “significant way”.

He was critical of ECNT’s delay in bringing the stay application and was satisfied that the prejudice experienced by Tamboran has been exacerbated by the timing of the application for a stay.

He found Tamboran was entitled to rely on the decision of the Minister to approve the EMP even after ECNT filed its initiating application on July 4 2024, and was not obliged to stop approved works at that time or thereafter.

Mr O’Reilly found on the face of the material provided by the parties, the Minister and the NT EPA had considered the level of risk and determined that it would be within what is envisaged under the Act and Regulations.

He was not satisfied that ECNT has established that the public interest in avoiding risk outweighs the public interest in facilitating exploration.

A broader application by ECNT to stop Tamboran producing gas at the Beetaloo is still to be heard.

Tamboran chief executive Joel Riddle said the ECNT’s decision was a “clear victory”.

“This positive decision also shines a light on the ‘public interest’ argument so often used by groups like the Environment Centre NT. This decision found the “public interest” argument used by the ECNT did not outweigh the very real public interest in facilitating gas exploration in the Northern Territory.

“Tamboran has full confidence in our environmental management plan and the NT Government’s approval processes.”

ECNT deputy director Stephanie Griffin was encouraged by the NTCAT’s decision.

“Despite the Tribunal’s decision not to grant the Stay Application, we are encouraged that the Tribunal President was satisfied that we raised serious issues for determination. We took on this case to protect the Territory’s water, our free-flowing rivers, which are at risk from practices like fracking.”

“Our challenge of the environmental approval that greenlit Tamboran’s Beetaloo fracking project is still ongoing, and we look forward to putting further evidence before the Tribunal at the substantive hearing next year.”

“This is the first ever merits review challenge of a fracking approval in the Territory. As the Tribunal President made clear, this merits review process was designed to increase transparency and scrutiny of certain decisions, like the Tamboran fracking approval. We will continue to exercise our rights to ensure fracking approval processes are transparent and subject to appropriate scrutiny.”

To view the full article online, click here.

Source: The NT News

The Environmental Defenders Office (EDO) has been hit with $9 million in legal costs after a bruising defeat in the federal court, where Justice Natalie Charlesworth delivered a withering critique of the evidence it presented.  

Acting on behalf of Tiwi Islanders, the activist group had sought to challenge Santos' $5.7 billion Barossa gas project, alleging threats to underwater cultural heritage.  

Justice Charlesworth's ruling dismissed the claims, marking a significant setback for the activist-led legal action. 

Earlier this year, the federal court ruled that the claim made by a group of 11 Tiwi Islanders—supported by EDO—asserting that the pipeline would harm areas of cultural significance was not "broadly representative" of the views held by First Nations people in the area.  

The decision favoured Santos, with the court dismissing the application and discharging the injunction that prevented pipelay activities south of the kilometre 86 (KP86) point along the Barossa Gas Export Pipeline in the Timor Sea.  

Subsequently, Santos started legal proceedings against the legal group to recoup costs.  

Joshua Burgoyne, the NT minister for lands, planning, and environment, welcomed the court order, saying it had positive ramifications for the Territory. 

"This decision calls out environmental ‘lawfare,' where environmental groups seek to stall and stop proponents from continuing developments," Burgoyne said.  

"We won't allow activists and economic vandals to manipulate their way into halting or delaying key Territory projects with mistruths and false information." 

Burgoyne added that the federal court's decision was a testament to the Territory's and Commonwealth's environmental laws, showing they withstood robust scrutiny through the court system. 

In April, Santos formally petitioned the federal court to subpoena several activist entities, namely Sunrise Project, ECNT, Market Forces, and Jubilee, and secure court approval to access activists' financial records and correspondences.   

This calculated manoeuvre aims to ascertain whether these separate organisations contributed financially to the EDO, which has received funds from the Australian government.  

The documents subpoenaed in the ongoing court battle between Santos and EDO were published on Wednesday, revealing what the O&G peak body, Australian Energy Producers, describes as "inappropriate conduct."   

Australian Energy Producers urged the government to stop funding EDO, citing, "It is unacceptable that the EDO continues to receive $2 million a year in taxpayer funds from the federal government to disrupt and delay critical energy projects and put Australia's economic and energy security at risk".  

EDO states on its website that it uses the law to protect Australia's environment, people, and wildlife.  

Source: Energy News Bulletin 

The CLP Government is delivering on its commitment to rebuild the economy by appointing an Approvals Fast Track Taskforce.

The taskforce, consisting of industry experts from across the Northern Territory, will provide recommendations to Government on how to reform regulatory processes, and reduce approvals timeframes.

Chief Minister Lia Finocchiaro said: “The taskforce will operate for six months and play a key role in streamlining approvals, and reducing red tape, to grow business and investment opportunities in the Territory.”

The taskforce, which held its first meeting on Tuesday, will be chaired by former Property Council NT President, Mark Garraway.

The membership consists of:

·       M+J Builders Director, Michael Buckley

·       NT Link Director, Tony Smith

·       Territory Instruments Managing Director, Stuart Kenny

·       Humpty Doo Barramundi CEO, Dan Richards

·       Foxalicious Fruit Owner, Andrew Dalglish

·       Louw Group Director, Hermanus Louw

·       Stone House, Charlie’s of Darwin and Darwin Distillery owner, Bec Bullen

“The CLP has promised to rebuild the Territory’s economy which was trashed under the previous government, and this Taskforce, along with the Territory Coordinator, will play a key role in getting the NT moving in the right direction,” said Mrs Finocchiaro.

“The Taskforce will provide real world advice to Government on options for decreasing regulatory processing times and easing the burden on business and industry, focussing on reforms that will benefit the greatest number of businesses.

“It will have a broad remit but will focus on small businesses, including in the construction, retail, accommodation and hospitality sectors.

“The Taskforce will take a risk-based approach, seeking to balance the economic benefits of improved investment and economic development with the need to avoid undue risk for Territorians.”

Source: Northern Territory Government Newsroom

Office of the Chief Minister - Hon. Lia Finocchiaro